A new $2 billion company with the merger of salary packaging group McMillan Shakespeare and Eclipx

Eduardo Munoz Alvarez/Getty Images
  • McMillan Shakespeare and Eclipx are merging to form a leading salary packaging and fleet management company.
  • In a $900 million deal, Eclipx shareholders will get 0.1414 McMillan Shakespeare shares plus 46 cents cash.
  • The new company will have a market cap of $2.14 billion.

McMillan Shakespeare and Eclipx Group are merging to create a leading salary packaging and fleet management company with a market cap of $2.14 billion.

Under the $900 million Scheme Implementation Agreement, Eclipx shareholders will get 0.1414 McMillan Shakespeare shares plus 46 cents cash.

The deal implies a total value of $2.85 per Eclipx share based on last closing price of $16.90.

A short time ago, Eclipx shares were up 19% to $2.74. McMillan Shakespeare fell 3.2% to $16.36.

McMillan Shakespeare shareholders will own about 64% of the combined group and Eclipx shareholders the remaining 36%.

The combined business is anticipated to realise an estimated $50 million in synergies.

McMillan Shakespeare Tim Poole said: “We are delighted to announce the Merger of two industry leading businesses to create a unique, diversified and best-in-class platform. We are confident in the strategic and financial logic of this combination and look forward to partnering with the highly skilled Eclipx team.”

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